Brussels: India and
the 27-nation European Union are set to expand economic ties by
setting the stage for a major trade and investment deal that is
expected to multiply the quantum of business between them. The
agreement is expected to generate two-way trade worth about 100
billion euros.

The two sides cleared the decks for the agreement by reaching an
understanding on some contentious issues ahead of Prime Minister
Manmohan Singh's visit to this Belgian capital, beautifully decked
up with lights, wreaths and festive crafts for the Christmas
celebrations.

And by the Easter celebration next year, the Broad-based
Investment and Trade Agreement (BITA), also called the free trade
agreement, would be initialed by the two sides, official sources
said.

Manmohan Singh who arrived here Thursday will attend the 11th
India-EU summit following which the two sides will announce a
progress report on their hectic negotiations for the last three
years over the deal.

Exporters in Europe see lots of economic opportunities - in
sectors like cars, luxury goods and fashion - in having broad
based business ties with India, one the world's fastest growing
economies. With a rapidly expanding middle-class, India has a huge
potential customer base in its 1.2 billion people.

The EU's trade in goods with India, that is the its ninth most
important trading partner, picked up in the first nine months of
2010 after a slump in 2009 due to the global recession, according
to data released here Thursday. For India, the EU is its largest
trading partner with bilateral trade touching 70 billion euros
this year.

The two sides missed a target of finalizing the deal by this month
but negotiations took longer than expected amid differences over
issues like EU linking the pact with topics such as India's
performance on climate change and reducing child labour and
greater market access.

Indian officials say the issue were irrelevant to negotiations for
commercial ties and any such pact had to be acceptable to its
parliament.

The other obstacle in finalizing the deal was a proposed clause
from India on easier immigration rules for Indians seeking to find
work in Europe, particularly Britain which has capped immigration.
It also includes matters such as intellectual property rights

But the issues have been resolved and the two sides have reached
an agreement paving the way for conclusion of the deal, an
official said.

After attending the summit, Manmohan Singh will seek to strengthen
India-Belgium bilateral ties during his stay in Brussels till
Saturday morning. He is scheduled to meet with Belgian Prime
Minister Yves Leterme at a working dinner Friday evening.

On the second leg of the three-day tour to Europe, the Indian
prime minister will arrive in Berlin Saturday afternoon for talks
with German President Christian Wulff and Chancellor Angela Merkel
during his eight-hour stay in the German capital.

The talks are expected to make a push for reforms in the UN. Both
India and Germany, elected as non-permanent members to the UNSC
who will begin their two-year terms in January, are aspirants for
a permanent seat in a revamped council.

The G.N. Khalsa College here will Saturday celebrate the 88th
birthday of veteran actor Dilip Kumar, one of its oldest students.
On Saturday, students will donate 88 bottles of blood. A college
hall will be named after »

Hindus and
Muslims joined hands here Thursday to pray for peace on the same Ganga ghat where a terror attack only two days ago killed a
toddler and wounded over 30 people. A few foreigners lent strength
to the solemn gathering, which held candles and earthern lamps at the »

Two Indians alleged to belong to Sikh terrorist organisation Khalistan Zindabad Force (KZF) have been arrested, German federal
prosecutors said in Karlsruhe Thursday.
The men, named only as 35-year-old »

The Israeli and Arab uproar against a ruling by some 300
Jewish rabbis prohibiting the rental of homes to non-Jews, usually
Arabs living inside Israel, rose on Thursday, Arab News reported
December 10.
According to the Arab News »

Tony Blair was Wednesday requested to
appear for a second time before a public inquiry probing Britain's
involvement in the Iraq conflict, and the strategic and political
decisions taken in the run-up to the 2003 US-led »

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